New Delhi: Godrej Appliances, the consumer durables division of Godrej Group, today said it expects a 35% growth in sales to Rs 2,700 crore this fiscal through a slew of initiatives, which include ramping up its presence in smaller cities and expanding its product portfolio.
The company, which on Wednesday introduced a first-of-its-kind refrigerator that has an in-built FM radio and music player, said it is working on integrating such entertainment facilities in its other products, like washing machines and ACs, as well.
As part of its growth strategy, the company said it also plans to enter new categories like water purifiers and televisions, which it has already started launching in a phased manner.
“The turnover of Godrej Appliances was around Rs 2,000 crore last fiscal. This year, we are expecting a 35 per cent growth. It should touch around Rs 2,700 crore,” Godrej Appliances vice-president (sales and marketing) Kamal Nandi told PTI.
He said the biggest growth drivers have been its airconditioner, washing machine and refrigerator businesses, with a major chunk of sales coming from Tier-II and Tier-III cities.
“Though our refrigerator market is expanding and is growing at 18%, the penetration level is still very low in smaller towns and cities. And this is where we see our future growth coming from,” he said.
The company said the new refrigerator range, which has in-built FM radios and music players, will be targeted at the mass market and have been launched to tap Tier-II and Tier-III cities. It also plans to integrate such features in double door refrigerators targeting urban markets in particular.
At present, the feature is available in its entry level and single-door refrigerator models, priced between Rs 12,690 and Rs 15,660.
On its other product categories, Godrej Appliances said it is launching its television sets in a phased manner and recently started test marketing its water purifiers, with plans to go pan-India by next year.
“We are launching our television sets in phased manner. It was first introduced in 2008. We have now covered South and West. In the next one or two years, we plan to go pan-India,” Nandi said.
The firm also plans to expand its retail presence by opening around 15-20 exclusive outlets across the country. Its products are currently available at 19,000 retail outlets across the country.